The monotax, with a new table and a rise in maximum income well below inflation
To define the monotax table for this year, the Government decided increase the values of the maximum billings of each category by 26%, taking as a starting point the scheme that governed in the second half of 2021. To arrive at this percentage, the last two mobility readjustments were considered for retirements by Anses.
In 2021 there was the peculiarity that there were two different tables; one was in force for the period from January to June, and the other was in force between July and December. That of the second semester arose from a exceptional increase applied by a law to top billings. The increases were of different magnitudes according to the category, and were lower in the higher income echelons. Therefore, when the amounts currently in force (resulting from applying 26% to those of the second semester) are compared with those of a year ago, the maximum income to be in the monotax is only 32.05% (in commerce), and 39.18% (in services) higher, nominally. That is to say, they had a rise well below annual inflation, of around 50%. That causes there are taxpayers at risk of having to switch to the general tax regime (more onerous), even though in real terms (corrected for inflation) their income did not improve or even worsened.
That negative effect it would have been avoided if the update had been made considering the table for the first semester and taking into account annual mobility, which in 2021 was 52.67% (just as it had been done in recent years). Since 2018, the monotax is readjusted in January, in the same percentage as the increase that, due to the mobility formula, the retirements had the previous year. In 2021, after no formula was in force in 2020 (there were discretionary increases, by decree), the update of the scheme was delayed. In fact, the law that established the additional readjustment of the table arose after the strong rejection of the AFIP’s claim to collect, retroactively, the differences for updating the contributions that should have been done in January and that took place months later.
The table that emerged from the update is the one that accompanies this note. In the case of taxpayers who provide services, the maximum annual billing is $ 3,276,011.15, while in the case of monotributistas dedicated to the sale of movable things, the annual admitted income is up to $ 4,662,015.87 . The monthly average is, in the first case, $ 273,000 and, in the second, $ 388,501. A year ago the annual figures were $ 2,353,705.82 and $ 3,530,558.74, respectively.
In the lowest categories, the increases in allowed billings were greater. In A, the maximum income is $ 466,201.59; in B, of $ 693,002.36, and in C, of $ 970,203.30 (the latter is the one that had the highest increase in maximum income in the annual comparison, exceeding 71%).
These two parameters they were only updated by 26% per year. The highest price at which an asset can be sold to be monotax is now $49.646,21, while in 2021 it was $ 39,401.62. The maximum amounts of accrued rents affected by the activity also increased by that percentage, and the highest figure, corresponding to the last four categories, is $ 533,822.27 per year. The readjustment, well below inflation, can cause some to be excluded, regardless of the category in which they are.
The update covers the amounts to be paid each month, for both the tax component and the contributions to social work and the pension system. For example, in category A the total amount goes from $ 2,646.22 to $ 3,334.24. In B, the amount goes from $ 2,958.95 to $ 3,728.29 and in C it goes from $ 3,382.62 to $ 4,262.11 (services) and from $ 3,325.44 to $ 4,190.06 (sale of personal items).
As can be seen in the table that accompanies this note, in the case of the highest categories, the total monthly amount goes from $ 12,789.38 to $ 16,114.67 in the H, for the provision of services (it is the highest category for that activity), and from $ 19,912.74 to $ 25,090.13 in K, the highest for commerce. The contribution for social work is now $ 1,775.18 and the one derived from the retirement system ranges from $ 1,270.99 to $ 3,296.62, depending on the category.
Since the beginning of this month of January and Until Thursday 20, monotributistas must complete the first semi-annual recategorization process in 2022. And they have to do it by observing the table with the maximum income updated as explained in the previous points. Each taxpayer must see what billing they had in the last 12 months and, depending on the figure, stay in the category in which they are, or go to the one that corresponds to them. The second period to do the procedure this year will be in July. Once the relocation is made, from the following month the contribution corresponding to the new category must be paid.
From this month a “Permanent transition procedure” from the monotax to the general tax regime, created by law 27,618. Those who are left out of the simplified system for exceeding the billing values or those of other parameters, when moving to the general regime, can consider operations carried out while they were still in the simplified regime, to add balances in their favor in VAT and deductions in Profits. The transfer to the general regime implies the registration in those taxes and the payment of the pension contribution of the self-employed regime, of much higher value than monotax.
The Executive Branch recently sent Congress an initiative to create a “Bridge of fiscal inclusion” to the regime of small taxpayers. It is intended that in categories A, B and C the tax component of the monthly contribution is no longer paid, and that there are grace periods for those who enroll in other categories. There would be total or partial exemptions for four years. And the component of social work would be eliminated for new registrants, which would respond to an old demand from trade unionists. The scheme would be a challenge for the retirement system, since resources would be taken from it and promises of future payments would be kept.